The Latin America, Middle East and Africa Monoethylene Glycol Market would witness market growth of 4.6% CAGR during the forecast period (2023-2030). In the year 2026, the LAMEA market's volume is expected to surge to 1,681.6 Kilo Tonnes, showcasing a growth of 3.9% (2023-2030).
Enhanced socioeconomic conditions, emerging economies, improved infrastructure, and a growing vehicle fleet, among other factors, have fueled the demand for automobiles, propelling the growth of the market. The demand for antifreeze and coolants in HVAC systems and heat exchangers is increasing to facilitate heat transfer in harsh, frigid weather conditions. Coolants and antifreeze can also be employed in industrial and electrical applications. The winterization of air conditioners, sanitation systems, non-running engines, and potable water systems are the primary industrial uses of antifreeze and coolants. Therefore, the demand for MEG is anticipated to be further fueled by the expanding application potential in the automotive and electronic industries.
MEG is a critical raw material for producing polyethylene terephthalate (PET) resin, widely used in the packaging industry for making bottles and containers for beverages, food, and personal care products. The growth in the consumption of PET bottles, especially in emerging economies, has driven MEG demand. In PET production, MEG and DMT are combined through a polymerization reaction to create PET resin. The MEG component contributes to the formation of the polymer chain. The resulting PET resin make a wide range of products. PET has also seen growth due to sustainability trends. Recycled PET (rPET) is increasingly used to produce PET products, which requires collecting and recycling PET bottles. Sustainability concerns have led to innovations in PET recycling and bio-based MEG in PET production.
Saudi Arabia has been actively pursuing the development of its domestic auto manufacturing capacity. As part of the country's economic diversification efforts, it has attracted investments from leading automakers to set up production facilities. Economic growth and rising disposable incomes in Saudi Arabia have contributed to an increase in vehicle ownership. This trend has increased demand for automotive maintenance products, including antifreeze and coolants.
Saudi Arabia experiences extreme climatic conditions, including high summer and cold temperatures in some regions during winter. These conditions necessitate effective engine cooling systems, which rely on quality coolant formulations. The growing automotive industry in Saudi Arabia, driven by economic diversification efforts and increased vehicle ownership, plays a considerable role in the demand for MEG, primarily in the form of antifreeze and coolant products. As the automotive sector continues to expand and innovate, the demand for MEG will remain robust in the Saudi Arabian region.
As per International Trade Administration, Saudi Arabia is the largest regional automotive industry, and the Middle East and North Africa (MENA) region is expanding at an estimated 36% rate. In 2020, Saudi Arabia accounted for approximately 52% of all vehicles sold in the Gulf Cooperation Council (GCC) and 35% in the MENA region. In 2019 and 2020, Saudi Arabia sold 556,000 and 436,000 vehicles, respectively. Sales are anticipated to reach 543,000 units by 2025, with only 32,000 units being electric vehicles (EVs).
The Brazil market dominated the LAMEA Monoethylene Glycol Market by Country in 2022, and would continue to be a dominant market till 2030; thereby, achieving a market value of $369.5 million by 2029. The Argentina market is showcasing a CAGR of 5.1% during (2023 - 2030). Additionally, The UAE market would register a CAGR of 4.3% during (2023 - 2030).
Based on End-Use, the market is segmented into Textile, Packaging, Automotive, Plastics, and Others. Based on Application, the market is segmented into Polyethylene Terephthalate (PET), Antifreeze, Polyester Fibers, and Others. Based on countries, the market is segmented into Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria, and Rest of LAMEA.
Free Valuable Insights: The Worldwide Monoethylene Glycol Market is Projected to reach USD 27.5 Billion by 2030, at a CAGR of 3.4%
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Shell plc, LyondellBasell N.V., India Glycols Limited, SABIC, UPM Biochemicals, Kimia Pars Shayankar Co., Arham Petrochem Private Limited, Indian Oil Corporation Ltd., Pon Pure Chemicals Group, and ACURO ORGANICS LIMITED.
By End-Use (Volume, Kio Tonnes, USD Million, 2019-2030)
By Application (Volume, Kio Tonnes, USD Million, 2019-2030)
By Country (Volume, Kio Tonnes, USD Million, 2019-2030)
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